Optimization Criteria for Reactive Power Compensation in Distribution Networks

This paper describes the effects of reactive power flow through the power transmission and distribution networks. It also presents the dependencies allowing calculating the costs and effects of reactive power compensation. Additionally, selected methods for assessing economic efficiency were discussed. The paper presents calculation results for different variants of reactive power compensation in a real, medium voltage feeder. The results indicate that maximum profit from the reduction of losses due to reactive power compensation does not necessarily mean the most efficient solution from the economic point of view.